The Missouri Department of Revenue issued a letter ruling regarding the tax requirements for an HVAC and plumbing company located in Arkansas. The company “provides services for the maintenance, repair, and installation of HVAC/Plumbing Equipment” and “purchases its materials and equipment in the state of Arkansas.” The DOR responded that the company should not charge sales tax to Missouri customers because it does not sell personal property to its customers or render a taxable service, according to Section 144.020.1. However, the company is required to pay consumers tax on its cost of parts and materials used in jobs in the state of Missouri, according to section 144.610.1, because the company as contractor is the final user and consumer of the materials used in the fulfillment of a construction contract on real property improvements. (Missouri Department of Revenue, HVAC/Plumbing Installation and Repair Services not Subject to Sales Tax, March 25, 2022)